If you are honest and you didn't create multiple accounts to cheat then it would be better to flag them right away, than fooling around here in the gambling section!
Op is cautiously handling the matter based on what I observed. I guess he feels that his money is as good as gone if he raises a flag against them.
The thing that really surprise me on this case was the amount that the casino are denying to pay was small enough to escalate like this. LOL.
This is the part that confused me as well. Why on earth would they try and run away with such a small amount since they launched recently? Usually, scam sites tend to run with a truckload of money. Perplexing situation.